Many of Louisiana’s 450,000 small businesses are struggling to make rent amid the COVID-driven economic crisis.
Beau Box Commercial Real Estate New Orleans VP Cres Gardner says the divide between which sectors are and are not having trouble paying rent is significant.
“We have actually seen our office tenants able at this point to cover rent for the most part, 80-90 percent are paying. On the retail side it is closer to 50/50,” said Gardner.
Gardner says if your business is struggling to make rent reach out to your landlord with detailed accounting demonstrating how your business will bounce back after the crisis cools.
“Show them that financially these were where my sales were pre-COVID, this is where they are now, this is what I am projecting with the recovery, these are the government programs that I have applied for and accessed,” said Gardner.
Gardner says if you’ve been a reliable tenant than its unlikely your landlord will want to let you go over a few months of delinquency.
Gardner also expects when workers are cleared to return to office spaces those environments will reflect the New Normal.
“I am seeing a lot of companies that are going to bring people in in teams so team A will come in on Monday/Wednesday and team B will come in on Tuesday Thursday,” said Gardner.
Gardner also expects the future of office spaces will be a return to less dense spacing with more personal offices.
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